Case Law[2024] ZAGPJHC 674South Africa
N.M v M.M and Another (2023/008561) [2024] ZAGPJHC 674 (24 July 2024)
Headnotes
Summary of the parties’ contentions
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## N.M v M.M and Another (2023/008561) [2024] ZAGPJHC 674 (24 July 2024)
N.M v M.M and Another (2023/008561) [2024] ZAGPJHC 674 (24 July 2024)
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sino date 24 July 2024
SAFLII
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Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
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SAFLII
Policy
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, JOHANNESBURG
CASE
NO: 2023/008561
1.
REPORTABLE:
2.
OF INTEREST TO OTHER JUDGES:
3.
REVISED:
In
the matter between:
M[...],
N[...] N[…]
Applicant
and
M[...],
M[…] N[…] M[…]
C[…]
First
Respondent
ABSA
BANK LIMITED
Second
Respondent
This judgment was
handed down electronically by circulation to the parties’
representatives via e-mail, by being uploaded
to CaseLines/Court
online and by release to SAFLII. The date and time for hand- down is
deemed to be 10h00 on 24 July 2024.
Order: Paragraph [28] of
this judgment.
JUDGMENT
TODD, AJ:
Introduction
[1]
This is an opposed application in terms of
which the Applicant seeks an order under the
actio
communi dividundo
.
[2]
The Applicant and First Respondent are
married to one another out of community of property with the
application of the accrual system.
[3]
The Applicant instituted divorce
proceedings during March 2022. The parties have two minor children.
The main relief sought in the
divorce proceedings, apart from a
decree of divorce, is confirmation regarding the parties’
parental responsibilities and
rights, contact between the First
Respondent and the minor children, the determination of the accrual
in the parties’ respective
estates and division thereof, and
payment of maintenance in relation to the minor children.
[4]
Neither party seeks relief in the divorce
proceedings in respect of the immovable property which is the subject
of this application,
which they jointly own.
[5]
The Applicant and First Respondent are
co-owners of that property, which served as the matrimonial home
until the First Respondent
left the home approximately three years
ago following the breakdown in the parties’ marriage
relationship.
[6]
The parties agree that the marriage
relationship has broken down irretrievably and also agree in
principle that their joint ownership
in the immovable property should
be terminated.
[7]
The Applicant and minor children continue
to reside in the immovable property and the Applicant wishes to
continue to do so with
the children, which she states is their home
where they find comfort and stability.
[8]
Following an application in terms of the
provisions of Rule 43 of the Rules of this Court, which was heard in
June 2023, an order
was made regulating the children’s primary
place of residence with the Applicant, the First Respondent’s
contact with
the minor children, and ordering the First Respondent to
pay maintenance to the Applicant for the minor children.
[9]
While the Applicant wishes to terminate the
parties’ joint ownership in the property, the First Respondent
objects to this
at this stage and states that this should occur only
as a consequence of the parties’ divorce.
Summary of the
parties’ contentions
[10]
The
parties agree that the legal principles in proceedings of this kind
are set out in
Robson
v Theron
[1]
.
[11]
In summary the
actio
communi dividundo
is the common law
remedy for the termination of joint ownership in property. No
co-owner is normally obliged to remain a co-owner
against her will.
The action is available for the division of joint property where
co-owners cannot agree, and may be brought by
a co-owner irrespective
whether co-owners possess the joint property jointly or any one is in
possession. This Court has a wide
equitable discretion in making a
division of joint property.
[12]
Ms Abro, who appeared for the Applicant,
submitted that the Applicant is entitled to bring an end to the
parties’ joint ownership
in the property concerned and that the
practical manner for this to be done was for the property either to
be sold in the open
market with net proceeds to be divided equally,
or for one party to acquire the other party’s share, to become
sole owner
of the property, and to make payment to the other of their
share in the equity in the property.
[13]
The Applicant seeks transfer of the First
Respondent’s half share in the property to her. Ms Abro submits
that there can be
no prejudice to the First Respondent, who will
receive 50% of the value of the equity in the property (that is the
sale proceeds
less the balance due on the bond of the property).
This, she submits, will occur whether the First Respondent’s
share is
transferred to the Applicant or the property is sold on the
open market.
[14]
The essence of the First Respondent’s
contentions in opposing the relief sought, as explained by Ms
Vosloo-de Witt who appeared
for the First Respondent, is that because
the joint ownership of the property is “tied to the parties’
marriage relationship”
the sale of the First Respondent’s
50% share in it will have an impact on the parties’ respective
accrual and maintenance
claims in the divorce proceedings. That being
so, Ms Vosloo-de Witt submitted, it would not be just and equitable
to force the
First Respondent to sell his 50% share in the property
because this would impact the Applicant’s accrual and inflate
her
current bond costs. This would also have an impact on the
maintenance which the Applicant would claim against the First
Respondent
in the divorce proceedings.
[15]
The First Respondent also submits that an
order should not be made authorising the Applicant to purchase his
share of the immovable
property because this is something she cannot
afford. Instead, he contends that the property should, in due course,
be sold to
a third party on the open market as a consequence of the
divorce proceedings.
Analysis
[16]
As regards the First Respondent’s
contention that the Applicant cannot afford to purchase his share of
the property, there
does not appear to be any factual basis for this
contention on the papers, and in any event I agree with Ms Abro that
this is not
a matter about which the First Respondent should be
concerned provided that he receives his 50% share of the proceeds of
the sale.
[17]
As regards the apparently related
submission that a purchase by the Applicant of the First Respondent’s
half share in the
property would potentially increase any maintenance
claim that the Applicant might make against the First Respondent,
there is
on the papers no such maintenance claim in the divorce
proceedings in which, it is common cause, neither party makes any
claim
for maintenance against the other.
[18]
As regards the First Respondent’s
submission that it would be preferable for the immovable property to
be placed on the market,
sold to a third party, and the net proceeds
divided equally between the parties, the consequence of this would be
that the Applicant
would no longer be able to live in the property
with the children. The property is their current home. It is
difficult to see on
what basis it could be contended that this is
appropriate or just and equitable in the circumstances.
[19]
The First Respondent submits that he is
entitled to appoint his own valuator to value the property and that
he has not yet done
so. There is no reason why he should not have
done so already, but in any event, under the terms of the order that
is sought, he
will have a fair opportunity to do so. This is not,
therefore, a ground on which to oppose the relief sought.
[20]
Insofar as the First Respondent submits
that it would be more appropriate to defer the division of the
immovable property to the
impending divorce proceedings, I am unable
to see how that would result in any decision other than that the
jointly owned immovable
property should be disposed of and the
proceeds divided between the parties, essentially the relief sought
in the present proceedings.
[21]
Since the parties both seek termination of
their joint estate which includes the termination of their joint
ownership of the immovable
property concerned, there seems to me to
be no legitimate basis for contending that this should be deferred or
postponed until
the divorce proceedings have been finalised.
[22]
Finally, and insofar as the First
Respondent submits that the sale of the property might impact the
accrual calculation in respect
of their estates, I invited Ms
Vosloo-de Witt to explain how this was so. I have considered her
submissions in this regard, and
do not agree that there is any
legitimate complaint or risk in this regard.
[23]
I am satisfied that a proper case has been
made for the relief that the Applicant seeks.
Costs
[24]
Regarding costs, Ms Abro submitted that the
First Respondent’s opposition to the application has resulted
in delay and unnecessary
financial expense, and that the First
Respondent’s grounds for opposing the Applicant’s wish to
remain in the home
with the parties’ minor children is without
merit and is “
spiteful,
obstructive, vindictive and contrary to his minor children’s
best interests which are paramount
”.
While the First Respondent accepts that joint ownership in the
immovable property should be terminated, he opposes the
application
and persists in refusing to the Applicant purchasing his half share
in the property. Ms Abro submitted that the First
Respondent’s
conduct is obstructive, without merit and should be met with a
punitive costs order.
[25]
In response Ms Vosloo-de Witt submitted
that punitive costs should not be awarded simply because the First
Respondent has opposed
the application. She submitted that the
application is in fact
male fides
because it constitutes an attempt to influence the parties’
accrual and maintenance claims and that the First Respondent
as
co-owner “
has every right to also
claim full ownership of the property
”.
[26]
It seems to me that the First Respondent’s
stance, while without merit, does not meet the standard of warranting
punitive
costs. It did, however, warrant the use of an experienced
counsel, and having regard to the importance of the issues to the
parties
the matter warrants an order of costs on the party and party
scale B.
[27]
I agree with Ms Abro that it is appropriate
to order that costs may be deducted from the sum to be paid to the
First Respondent
by the Applicant for his 50% share in the immovable
property.
[28]
In the circumstances I make the following
order:
1. The Applicant
and the First Respondent’s joint ownership in the immovable
property described as Erf 1[…] B[…]
Ext 1[…],
B[…], Johannesburg, Gauteng, held under title deed number
T6[…], measuring 378 m² in extent,
and situated at 1[…]
B[…] C[…] Estate, S[…] Avenue, Gauteng (“
the
immovable property
”), shall be terminated in the following
manner:
1.1 The Applicant
and the First Respondent shall, within 5 (five) days of this order,
each appoint a reputable real estate
agent operating within the area
of the jointly owned immovable property in order that they may each
obtain a valuation of the immovable
property;
1.2 The Applicant
and the First Respondent shall accept the average of the two
valuations obtained from the aforementioned
real estate agents as the
fair market related price of the immovable property;
1.3 The Applicant
shall purchase the First Respondent’s 50% share in the
immovable property and make payment to the
First Respondent of the
amount due to him, being 50% of the equity in the immovable property,
taking into account the outstanding
amount owing to ABSA Bank Limited
in respect of the registered mortgage bond with bond number 8[…]
1.4 The Applicant
shall do all things necessary in order that she may be substituted as
the sole registered Mortgage Bond
Holder in place of the First
Respondent in respect of the Mortgage Loan Account Number 8[…]held
with ABSA Bank Limited,
alternatively
the existing mortgage
bond shall be cancelled and a new bond registered over the immovable
property in order that she be reflected
as the sole mortgage bond
holder and registered owner in respect of the immoveable property and
henceforth from date of substitution
be solely responsible for the
outstanding mortgage bond over the immoveable property and payment of
the monthly instalments thereof;
1.5 The First
Respondent shall timeously and within (5) five days of request attend
to sign all documents required of him
and shall further provide all
information and documents which may be necessary to give effect to
the transfer of his 50% ownership
to the Applicant;
1.6 In the event
of the First Respondent failing to comply with the above or refusing
to sign any and all documentation required
in order to transfer
ownership of the immovable property to the Applicant as aforesaid,
the Sheriff of the above Honourable Court
is hereby authorised to do
so in the First Respondent’s stead.
2. The First
Respondent shall pay the costs of this application on the party and
party scale B, which costs can be deducted
from the sum to be paid to
the First Respondent by the Applicant for his 50% share in the
immovable property.
C TODD
ACTING JUDGE OF THE
HIGH COURT
JOHANNESBURG
Date of
Hearing:
22 May 2024
Date of
Judgment:
24 July 2024
APPEARANCES
Counsel for the
Applicant:
Adv. M Abro
Instructed
by:
Di Siena Attorneys
Counsel for the
Respondents: Adv. A Vosloo-de Witt
Instructed
by:
Burnett Attorneys
[1]
1978
(1) SA 841
(A)
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